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Flexsteel to pay $6.25 million to settle litigation

Involves alleged groundwater contamination

-- Furniture Today, December 24, 2013

DUBUQUE, Iowa. — Upholstery and case goods resource Flexsteel Inds. has reached a $6.25 million settlement with several Elkhart, Ind. residents over claims that the company caused or contributed to groundwater contamination underneath their current or former homes.

The settlement, disclosed in a Dec. 17 filing with the Securities and Exchange Commission, relates to properties that Flexsteel once owned in Elkhart.

Flexsteel "did not admit any wrongdoing and believes that it did not cause or contribute to the contamination," the filing says.

Relief sought in the complaints includes payment to plaintiffs for their damages and attorney's fees and costs, payment to remove the contamination and payment for medical monitoring and punitive damages.